Author Archives: pmontesdeoca

WHAT IS FIBONACCI TELLING US ABOUT SILVER? PODCAST

 

 

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Silver Correction Completed?

 

 

Patrick MontesDeOca, CEO of the Equity Management Academy, today recommended that short traders take profits and get back on the long side of the silver market.

In a February 10 Equity Management Academy report, “Silver Fibonacci Intermediate Targets Completed,” MontesDeOca discussed the more than $2 rally since December. The report said that if the market fell below $17.80 for the week, we would be looking for a correction. He said, “It’s an example of harmonic timing with all the daily and weekly indicators aligning. There’s a high probability that when prices reach these levels, traders should take profits.” He said that there is a “significant potential for a correction,” which, he said, will test the $17.59 level, with $17.47 the lower-level target.

Where are we now?
Today, March 7, the low was $17.4950. MontesDeOca said, “We’ve seen…as expected on February 10 the correction coming down to the $17.59 to $17.47 area.” The market ran up to above the Fibonacci trend line of $18.29. Although the market has given a short-term buy signal, MontesDeOca said, “The market pretty much caved in to that resistance and came down on the second of March to test the lower levels of support where we are today: testing $17.4950.”

Where are we going from here?
“The market appears to have made some kind of a descending wedge right into the Fibonacci trend lines of support,” MontesDeOca said. It is a continuation pattern, just as occurred back in January. He believes that the market is consolidating “before the market continues its upward trend.” Descending wedges are bullish.

“If the market closes above $17.85,” MontesDeOca said, “it will break out of the wedge,” and we will be looking for targets as high as $18.65 all the way up to $19.01. He believes this is the high that will be achieved before the usual seasonal drop in the first or second quarter. “The market is stabbing right into a harmonic level of support at $17.67 down to $17.10. It’s the best time to take profits on shorts and get back on the long side.” He is anticipating a reversion to the mean to take the market back to $18.86 and $19.00.

For more information on the criteria to join the Academy’s select group of investors or to see every trade recommended by the VC Price Momentum Indicator for the past few years, please email support@ema2trade.com or call 805-418-1744.

TRADING SILVER FIBONACCI RATIOS REAL TIME

 

 

Trading Silver Fibonacci Ratios Real Time

Today Patrick MontesDeOca, CEO of the Equity Management Academy, used analysis based on Fibonacci ratios and the VC Price Momentum Indicator to predict that silver might move up to $19.09.

In early December, MontesDeOca published reports positing a “major buying opportunity” in the silver market with the potential for a “major breakout to the upside” and a target of about $18.00.

He said, “Now we’ve accomplished that target.”

What next?

MontesDeOca said, “The market is in a continuation pattern. The market closed above the 200-day moving average, which is very bullish.” He expects a breakout to the upside.

How high are we going to go?

MontesDeOca used Fibonacci retracements from the high last year in August, which provide a “pretty good indication where silver will retrace to.” After a low of $15.68 on December 20, the market has risen to $18.47.  He said, “It’s up a pretty substantial move. . .It appears that even though the market is overbought, there it still has some room to run, potentially reaching the 61.8% retracement of $19.09 or $19.10. “

If the market moves up to reach those targets, then $20.04 is in reach, which is a 78.6% retracement of the entire move from August of last year. Such movements validate for us two indicators: the market is above the 200-day moving average and the market is confirming that we’ve accomplished a 50% retracement from the low last year of $15.68.

MontesDeOca said, “The market on the 24th of February made a new high of $18.46, crossing a resistance trend line, and targeting the 50% Fibonacci retracement.” The market accomplished that target and then came back down to test that level. “Once resistance is broken,” he said, “it becomes support. Closing above $18.44 seems to activate this upside pattern.” Even so, he said, “There are still objectives to the upside to accomplish before this move is over.”

Based on algorithms that identify the supply and demand levels in the market, MontesDeOca identified new targets in the $18.55-to-$18.62 range, all the way up to $18.88. “Closing above $18.44 activates all these targets,” he said, “all the way up to $19.09.”

For more information on the criteria to join the Academy’s select group of investors or to see every trade recommended by the VC Price Momentum Indicator for the past few years and its impressive rate of return, please email support@ema2trade.com or call 805-418-1744.

Silver $19 Handle Coming Up? SPECIAL REPORT

 

 

 

CEO Patrick MontesDeOca of the Equity Management Academy predicted bullish gold and silver markets for the coming week.

MontesDeOca said, “The gold and silver markets remain strong after fulfilling their intermediate objectives in the February time frame. Corrections continue to be shallow with no follow through, and with major buyers stepping up to the plate. We have completed 90- and 180-day cycles, but the price momentum continues to indicate that we could see a spike to the upside next week. With gold finally able to close above $1221 last week, it confirmed a multi-month bottom, while potentially finding an intermediate top that could take place next week.”

In the silver market, MontesDeOca said, “The downdraft last week reinforces the potential for an additional spike high into this week. This would also add confirmation to the new uptrend that is developing, which we anticipated in the later part of 2016.”

MontesDeOca explained that for silver, a daily close above $18.02 would reverse the weekly trend up with targets being activated in the $18.36 to $19.12 levels that correspond to a 50% Fibonacci target and a 61% target retracement of $19.12 of the total move that took place during the second half of 2016 when the market corrected since the highs made in August.

He said that gold’s resistance comes in “at the $1257 area which corresponds to a 50% Fibonacci retracement from the entire 2016 second-half decline.”

“This is a special update on the silver market,” MontesDeOca said, “that is validating the continuation pattern of this trend by testing these levels of support and finding a tremendous number of buyers, supporting a rally all the way up to about $18.50.” He said a close above $18.50 puts into play the 61.8% retracement in silver which is $19.12. “So any corrections in the silver market that occurred last week have been negated and the market is telling us that the continuation pattern is very bullish for the coming week.”

MontesDeOca concluded, “We should prepare to buy long in gold, and a close above $1239 will activate this upward signal of $1261. The silver market breaking through the $18.02 high would be a breakout to the upside. Buy into the weekly levels of the average in silver at the $17.83 level, which match the weekly levels of $17.80.”

For more information on the criteria to join the Academy’s select group of investors or to see every trade recommended by the VC Price Momentum Indicator for the past few years and its impressive rate of return, please email support@ema2trade.com or call 805-418-1744.

 

SILVER FIBONACCI INTERMEDIATE TARGETS COMPLETED

 

 

 

Silver Fibonacci Intermediate Targets Completed

 

After achieving profit objectives set in early January, Patrick MontesDeOca, CEO of the Equity Management Academy, today predicted a retracement in the silver market based on Fibonacci analysis and the Academy’s proprietary VC Price Momentum Indicator.

 

In an article on Trader Planet in early December, MontesDeOca recommended his subscribers to buy silver. Since December 20, silver has risen from $15.68 to $17.8750.

 

“We have pretty much captured a $2 move,” MontesDeOca said. “Our expectation for this move was $2.50.” However, he said, based on the VC Price Momentum Indicator, which indicates major turning market points, “We might have seen an intermediate to short-term high in the silver market at $17.8750.”

 

The VC Price Momentum Indicator is strictly a mathematical formula, unaffected by chatter in the media or on the Internet.

 

The Indicator shows, MontesDeOca said, “If the market closes below $17.80 for the week, we should be looking for a correction. It’s a pretty compelling picture of harmonic timing, with all of the daily and weekly indicators aligning, which suggests there is a high probability that when the price reaches these levels, traders should take profits.” There is, he said, “Significant potential for a correction.” He predicts that silver could test the $17.59 level, with $17.47 the lower level.

 

“The magnitude of the rally,” MontesDeOca said, “pretty much fulfilled the profit objective for this leg,” which started in December. “We could be going into a second-wave correction and that could lead down to $17.12 to $16.76 once again.” The market could move down to $15.76, which would be a 50% Fibonacci retracement. Below that, he said, we are looking at a 68.1% retracement to $16.50. The VC Price Momentum Indicator suggests that prices have activated the weekly lower levels of $17.12 to $16.75, “with a high probability of $16.75 being reached over the next several weeks.”

 

For more information on the criteria to join the Academy’s select group of investors or to see every trade recommended by the VC Price Momentum Indicator for the past few years and its impressive rate of return, please email support@ema2trade.com or call 805-418-1744.

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